Oral Answers to Questions

Jack Lopresti Excerpts

Monday 13th March 2023 Commons Chamber

[Mr Wallace]

First, I am not sure where the hon. Gentleman gets that we will not get the 3% to avoid the cuts. At the moment, it will be a decision on the balance of investments. He will see in the Command Paper how we apportion any savings that we have to make as a result of inflation, but overall, as I have said, our equipment programme and, indeed, our envelope are on track, subject to inflation pressures and extra operational commitments that we have made. He will also be aware that we have had an extra £560 million on top of that for restocking ammunition, and we have also had commitments from the Treasury on new for old and much of the gifting. I believe that the Army will be in a good state throughout this process, and I will make sure that when it comes to the Defence Command Paper, he gets a full read-out of why and how we make those decisions.

[Jack Lopresti (Filton and Bradley Stoke) (Con)]

T10. What steps is my right hon. Friend’s Department taking to support small and medium-sized enterprises in the defence sector that are adversely affected by the application of environmental, social and governance criteria, making it very difficult for them to raise capital to invest in their business and expand?

[Alex Chalk]

My hon. Friend is a champion of SMEs, and rightly so: they are at the heart of a vibrant and flexible UK defence industry. That is why this Department helps to find and fund exploitable ideas from SMEs. To his point, however, there is nothing contradictory between the principles of ESG and the defence industry. On the contrary, strong national defence is the ultimate guarantor of the freedoms that all too often are taken for granted—human rights, democracy and the international rules-based order.